Commodity Futures and Fortunes

Commodities are going to be increasingly important in the years ahead; both as a hedge and as an investment. No matter what happens in the world, people will need raw materials and food, and that means the growing middle class in China and India, as well as other Asian countries, will drive a lot of the commodity futures prices in the short and long term.

That means that gold futures, oil futures, sivler futures, and commodities and futures of all sorts will be extremely profitable for those that do their homework and are patient in their commodities investments.

While there will always be commodities speculators in the market, those that are investing in commodity futures to make predictable profits, are those that have a long term outlook, which eliminates much of the price fluctuation connected to commodity futures and options coming from those speculators moving in and out of the markets.

Those investing in commodities in the short term run much higher risk than those looking at the long haul, just like those investing in equities. Commodity futures and options over the long term in the current global market have a more predictable pattern than maybe any other time in futures trading, because of the booming Asian markets which will need many things that it can now afford, in contrast to the past when the need was there but not the means.

Also benefitting now and in the future will be commodity futures brokers who will be increasingly looked to for advice in the realitively unknown area for most commodities trader wannabees.

Another potential beneficiary will be those in business who depend on trading in commodity futures to ensure they get their raw materials to operate their business, as well as lock in a price they can count on in the future.

While that could obviously backfire in the sense that the price could be less in the future than the commodity futures trader wanted, it still guarantees they'll receive their shipment if supply drops in relationship to demand, which the future pretty much guarantees.

If I was a commodity broker, I would be putting together some training or lessons that potential commodities investors just entering the market would find easy to understand. People overall don't understand commodity options and futures, so those commodity brokers ready and able to make it easy and simple to understand, will gain a lot of the upcoming commodity trading business that wasn't there before.

In other words, there's going to be a lot of new investors wanting and needing to learn how to trade commodities. The futures brokers ready for them will do a ton of new commodity futures and options business, and will do their clients a great service.

It seems most commodity futures brokers should be ready to explain the value of having a long term outlook concerning their futures contracts, and that the various forces that can impact prices make that a necessity for success over the long haul.

Those new to investing in commodities will need to understand that everything from weather, acreage, demand, scarcity and politics all play a role in determing upward or downward price movement in commodity prices.

With the U.S. dollar also ready to start plunging, it would be smart for futures brokers to be ready to put their clients' money into currencies that are ready to move upwards against the dollar, as well as into gold futures which will assuredly skyrocket going forward. Silver futures and oil futures should also enjoy upward movement for some time.

So looking ahead, those businesses, brokers, investors and farmers connected to commodities should enjoy unprecedented prosperity. Like anything else though, those best prepared and who have done their homework will be the most profitable in the ongoing commodity bull market.

Whether it be oil or gas futures; gold and silver or other precious metals; grains or livestock; currencies like the yen or yuan; or if commodity trades are done on the internet or whether you're a broker, farmer, or investor, those participating in trading in commodity options and futures from whatever side of the sector, should be wildly successful and build significant wealth and fortunes.

Commodity investing and futures trading demands discipline and courage, as well as doing your homework. No matter what part you play in the overall field, be ready for the raging commodity bull market about to ramp up again, as the raising middle classes in Asian countries look to raise their standard of living by the increasing demand they're able to afford.

From mining companies, farmers, business owners and countries, those best prepared and ready to run will enjoy extraordinary success as demand for raw materials is the largest it has ever been in the history of the world.

So we need to be prepared from whatever place we're in in relationship to investing in commodity futures and options, and watch as commodity prices surge as unprecedented demand carries everyone to heights they never imagined.

Those with long term outlooks and prepared for the upcoming period of time will be those benefitting most from the trading of commodities, including the commodity brokerages, brokers and businesses hedging their bets and locking in predictable prices and product they can make future plans with.

Commodities traders and investors will be the largest group of the wealthy in the years ahead, and will out perform all other financial sectors overall. Commodity prices will rise, and so will the wealth of those having the guts to grab the future which is assuredly coming.